Daikin Case Study

An all-in-one solution, from customs clearance to last mile logistics.

Opportunity

Daikin, a global leader in the manufacture and supply of commercial and residential climate control solutions, offers next-day delivery as a standard service for its customers. Daikin UK wanted to improve the consistency of its logistics and transport processes while providing accurate order tracking. XPO Logistics solved Daikin’s challenges with a state-of-the-art, 10,000m² logistics facility in Kent and our last mile transport network.

Solution

As part of XPO’s tailored solutions for Daikin, we manage customs clearance of inbound products. Containerised goods are received at the warehouse, unloaded and palletised under strict quality control conditions. When orders come in, most are picked on day one for next-day delivery. We provide a range of value-added services, including pre-delivery text alerts, last mile logistics with two-man teams, heavy lifting equipment, and the removal and disposal of packaging. We also manage reverse logistics, assessing returned units before routing them for repair or restocking. The full scope of operations at the facility is controlled by our warehouse management system, which records inbound and outbound serial numbers and is integrated with Daikin’s ERP system.

Results

XPO is a single source provider to Daikin UK for both logistics and transport, creating a streamlined, cost-effective solution. By demonstrating a commitment to continuous improvement through technology and process innovation, XPO has increased the flexibility of Daikin’s delivery services, reduced costs and improved customer service.

Both the service and working relationship we have enjoyed with XPO Logistics over the years have been first rate. On this basis, we extended both the duration and scope of our contract. Together we have focused on building a strong and mutually beneficial relationship and are confident we will further strengthen this partnership in the future.